Dec. Durable Goods Orders Rise More Than Expected

WASHINGTON – New orders for U.S.-made durable goods rose a larger-than-expected 1.3 percent in December and the previous month was revised higher, while non-transportation orders gained 0.9 percent, government data showed on Thursday.

Economists had forecast new orders for expensive items built to last three years or more to rise a smaller 1.0 percent. The gain in orders outside transportation matched Wall Street expectations.

November orders were revised up to show a 5.4 increase, the largest monthly gain since May 2005, from a previously reported 4.4 percent advance.

December's rise in orders was held back somewhat by an 8.1 percent drop in demand for civilian aircraft and parts. Analysts had expected some pullback after a soaring 139.3 percent gain in November, while surveys had predicted strong manufacturing demand outside of the transportation sector.